World Bank: It is time to start the application of next element of pension reforms in Azerbaijan

It is time to start the application of next element of pension reforms in Azerbaijan, head of WB’s mission on pension reforms in Azerbaijan Anita Schwarz said.

In turn, Chairman of the State Social Protection Fund Salim Muslumov said that it is possible firstly to start the application of collection system on the account of voluntary payments and then pass into the second element: "Today, some part of 25% paid to the Fund maybe directed to the collection system. And it means Fund’s incomes will decrease. Payment issue of those incomes is still open. Number of illegal incomes, freelance workers is much and problem of salaries’ legalization still remains".

To him, after these issues are solved, we can speak about the second stage. The third stage of the reforms includes establishment of legislative base. Only after it private funds maybe founded. At present, foreign experience is being learned by the State Social Protection Fund. Turkish, Polish and German practice has already been studied in connection with it so far and Kazakhstan’s practice will be studied in the near future as well. Thereafter, national legislative base will be prepared.


/APA/